It would be a good thing when reviewing the challenges to be faced by the Australian gold industry to set the backdrop and scene for them, by briefly examining the history of this vital and dynamic industry in the Australian context. Gold mining in Australia had its official beginnings in 1851 when John Lister and William Tom discovered gold at Yorky's Corner, later renamed Ophir by Edward Hargraves. From that first tentative beginning, the ensuing rush of prospectors into New South Wales and Victoria meant that the annual gold production in those early years surpassed that of the next 40 years. This early rate of production was only eclipsed when Australia's production was once again lifted by the discovery of gold on the other side of the continent, in Western Australia. (Figure 1). The years leading up to the First World War saw Australian production peaking once again at over 115 tonnes of gold, a production rate that would not be surpassed until 1988. This renaissance in production at the beginning of the 1980s was achieved by the application of technology. The advent of bigger trucks and shovels meant that earth-moving costs dropped dramatically. This, coupled with the highly effective and efficient carbon-in-pulp processing route, stimulated the Australian gold mining industry into a state of frenetic activity. These two innovations were the principal factors that enabled the economic exploitation of the lower grade haloes left by the old-timers' around the deposits exploited at the beginning of the last century-no high finding costs here. Australia's production through the 1980s and the early part of the 1990s was largely supported by the exploitation of these haloes. As these were depleted, the aggressive exploration effort stimulated by the strong cashflows of these early oxide deposits resulted in new blind' discoveries which are now emerging as the backbone of the Australian industry (Figure 2). Gold production is a major contributor to the Australian economy. In 1998/99 the Australian gold industry accounted for approximately 16 per cent of the value of all mineral exports, which in turn accounted for over 35 per cent of Australia's total exports. As such, the Australian gold industry, by itself, accounts for just under six per cent of Australia's total exports (Figure 3). Consequently, the industry is responsible for over one per cent of Australia's gross domestic product. These statistics are all the more compelling when we consider that, at the beginning of the 1980s, gold's contribution to exports and GDP was insignificant (Figure 4). Within the Australian resources industry, gold mines and associated infrastructure account for ten per cent of all capital expenditure (Figure 5). From an employment point of view, in 1997/1998 the industry directly employed (excluding contractors) about 7700 people, approximately 15 per cent of all those employed in the minerals industry. Just under nine per cent of the workforce in the minerals industry are female, whereas in the gold industry over 16 per cent are female.